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April 2014 Archives

Debt management strategies

Some Kentucky residents may be interested in the different ways that a consumer might try to manage large debts. Debt settlement and bankruptcy may have different effects on a debtor's credit history, and the strategies may be more or less effective depending on the circumstances of each case. Bankruptcy generally causes the most damage to the debtor's credit report, but the debt settlement process can also be damaging.

Kentucky patients among those struggling with medical bills

Kentucky residents with outstanding medical and health care bills might be able to take action in reducing the stress that comes with unmanageable debt. Even the insured can have difficulty paying their out-of-pocket expenses after the insurance companies have paid what they deem to be their share.

Using credit cards after bankruptcy

Many Kentucky residents wonder if they can continue to use a credit card after they file for bankruptcy. In the case of a Chapter 7 bankruptcy, there are no restrictions so it is entirely possible to use a new card immediately upon receipt. In the case of a Chapter 13 bankruptcy, any new credit must be approved by the trustee overseeing the bankruptcy case. It may be possible to get new credit after that approval.

When debt is larger than income

Kentucky residents who are burdened with overwhelming financial obligations may wonder how much debt is too much. One benchmark that is often cited is having more in debt than one makes in annual salary. Some advisers say that level of debt signals a problem. Others believe that it depends on the types of obligations. While that amount of student loans could be acceptable, the same level of credit card debt is likely not.

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